EtHiCAL | ENViRONMENtAL | ECONOMiC

ethical | environmental | economic
The strength of the alignment between McDonald’s
and its suppliers has been critical to McDonald’s
success. I feel privileged to work with suppliers who
are committed to providing quality, safe, affordable
ingredients to more than 30,000 McDonald’s restaurants
around the world every day. What’s more, our suppliers
play a leading role in helping us reach our vision for
sustainable supply.
the only way to advance
sustainability is to act, and
we’re committed to using our
size and scope to make a
difference in the world.
Thankfully, our suppliers
are as well.
In addition to supporting and complying with
McDonald’s own sustainable supply standards such
as those related to Social Accountability, Animal
Welfare, and Environmental Scorecard, many of our
suppliers proactively identify innovative solutions
that advance ethical, environmental, and economic
outcomes in our supply chain. The McDonald’s 2010
Best of Sustainable Supply is a collection of leading
best practices from across the McDonald’s supply chain.
We hope that highlighting these best practices will
be a source of inspiration and will help drive progress
even more quickly.
I want to thank every supplier that works hard to
integrate sustainability into its business. Though we
were not able to include all the supplier best practices
across the System in this publication – there are
literally hundreds – it is really all of their efforts that
make McDonald’s supply chain among the very best in
the world.
Of course, there’s always more we can do. The road to
sustainability is a long journey, and our commitment
to continuous improvement is core to helping us drive
progress into the future. The only way to advance
sustainability is to act, and we’re committed to using
our size and scope to make a difference in the world.
Thankfully, our suppliers are as well.
doug goare
Senior Vice President, Worldwide Supply Chain
2 • Introduction
welcome to
the best of
sustainable
supply
fifty case studies highlighting
sustainable supply best practices
from around the world
Sustainable Supply vision
McDonald’s vision for sustainable supply
is a supply chain that profitably yields
high-quality, safe products without
supply interruption while leveraging our
leadership position to create a net benefit
by improving ethical, environmental,
and economic outcomes.
Ethical We envision purchasing from suppliers that follow
practices that ensure the health and safety of their employees and
the welfare and humane treatment of animals in our supply chain.
Environmental We envision influencing the sourcing of
table of contents
employee wellness
4
your materials and ensuring the design of our products, their
manufacture, distribution and use minimize lifecycle impacts on
the environment.
animal welfare
8
Economic We envision delivering affordable food, engaging in
climate / energy
12
waste
16
water
20
raw materials
24
community impact
29
These fifty case studies were chosen by the Sustainable Supply
Steering Committee from among hundreds of supplier submissions.
We want to thank every supplier who took the time to tell us their
story and remind us of the progress our entire supply chain is
making toward sustainability.
equitable trade practices, limiting the spread of agricultural
diseases, and positively impacting the communities that our
suppliers operate in.
Supplier Leadership
McDonald’s works closely with its suppliers to continuously improve the
economic, ethical and environmental impacts of our supply chain. Our
suppliers take this responsibility seriously and, in many cases, are leading
the way toward a more sustainable supply chain.
In recent years, some of our markets have chosen to recognize exceptional sustainability performance by their suppliers. Winners include:
canada: pride pak, mccain
u.s.: smithfield, keystone
Sustainable Supply Steering Committee
APMEA:
Brian Kramer
Europe:
europe: seda, havi global logistics,
mccain, cargill
Keith Kenny
Latin America:
Leonardo Lima, Lisa Yee
North America: Jeff Fitzpatrick-Stilwell,
Susan Forsell, Nicole Zeni
Global: Jose-Luis Bretones, Francesca DeBiase,
Jessica Droste Yagan, Erik Gonring, Artemis Hiss,
Gary Johnson, Bob Langert, Rona Starr
Introduction • 3
employee
wellness
Employee wellness concerns the rights of women
and men to obtain decent and productive work in
conditions of freedom, equity, security and dignity
so that economic growth provides benefits to all. It
also covers specifics such as wages and the use of
appropriately aged labor. Best practices go beyond
the basic obligations of law and McDonald’s Code
of Conduct to demonstrate proactive support of
employee wellbeing.
Healthy Employees, In and Out of
the Workplace: Cape Oil & Margarine
Pam Addison
Human Resources Manager
Cape Oil & Margarine
Opportunity: HIV and substance abuse are common in our country and
can affect our workforce. Cape Oil’s priority is to ensure the health and
safety of our staff.
Solution: The company has employed Maureen de Jong, a qualified
Occupational Health Nurse, for the past 16 years. In addition to treating
and monitoring all occupational injuries and accidents, she conducts
annual personal hygiene and substance-abuse training. The clinic has
established and managed company policies on alcohol and drug abuse
in the workplace and the management of HIV/AIDS in the workplace. In
2008 the company started offering on-site HIV rapid testing and pre- and
post-test counseling, since HIV and drug abuse directly affect our staff
and our community as a whole.
Since 2004, Cape Oil has successfully assisted four staff with
the management of HIV- and AIDS-related illnesses. Since 2008, its
voluntary rapid testing program has shown that 4 percent of those tested
are HIV-positive, at which point assistance is provided to manage the
disease. Cape Oil has also successfully assisted 37 percent of referrals
for alcohol and drug abuse with rehabilitation.
Results:
4 • Employee Wellness
Pastoral Care For Employees: Tyson Foods
Devin Cole
Promoting Employee Citizenship:
FSBFoods
SVP & General Manager McDonald’s Business Unit
Tyson Foods, Inc.
Cristina Maria Martinez Augusto
IT & Processes Manager
FSBFoods
Opportunity: Tyson Foods recognized that its team members may
experience personal problems such as family concerns, illness,
hospitalization, stress, and grief. The company wanted to support its
team members during these difficult situations by providing confidential
resources.
Solution: Initiated in 2000, Tyson Foods’ Chaplaincy Program provides
compassionate pastoral care to our team members and their families.
This employee-support program with a spiritual foundation, is currently
supported by 120 full- and part-time chaplains representing 28 different
faith groups. Chaplains are endorsed or approved by their religious faith
group to serve as a pastoral caregiver and/or counselor, and are on call 24
hours a day, 365 days a year. They make regular work-site visits, as well as
hospital and home visits, and provide a presence of ministry to any team
member, regardless of religious affiliation.
Chaplains are embedded at each of our dedicated McDonald’s complexes,
in addition to our beef, pork and tortilla production facilities. Team
members are able to talk in confidence with their chaplains about many
issues, including:
Health concerns
Marital and family issues
Opportunity: The FSBFoods Social Responsibility Program seeks to
help employees become more engaged and educated citizens. Voting
is the exercise of citizenship and a legal opportunity to choose who
will represent us in the governments of our cities, states and country.
Nonpartisan discussions stimulate and motivate employees’ engagement
in political activities. It shows them the importance and positive influence
of a conscious vote on the direction of our country.
Solution: FSBFoods launched the Citizen Vote Project in 2010 through
a specialized consulting company. This project’s purpose is to promote
the active participation of all employees in the voting process. We do this
through analysis and discussions of relevant issues such as:
The economy
Health
Quality of life
Education
Culture
Environment
Infrastructure
Tyson Foods’ chaplains provide premarital counseling, conduct weddings,
and celebrate with team members when new babies are born. They also
provide cultural support and help integrate new workers who may be
struggling to adapt to new and different cultures.
As part of the learning process, employees are encouraged to participate
in a mock election. A few employees will create their own campaign and
political platform. The rest of the employees will vote for their favorite
FSBFoods’ candidate to become “President.” The main goal for Citizen
Vote is to teach the employees, in an entertaining way, what to consider
in a candidate’s campaign proposals in order to make the best voting
decisions.
Results: Tyson Foods believes this program provides an extra level of
Results:
Substance abuse
Job and financial concerns
care for team members. The company was honored to be one of seven
organizations to receive the 2007 International Spirit at Work Award
from the International Center for Spirit at Work, a worldwide nonprofit
organization and resource for companies who are integrating spiritual
values into the workplace.
Employees better understand the importance of knowing what
they are voting for, choosing their representatives in government, and
following up with elected politicians to make sure they deliver on their
campaign promises. FSBFoods believes that education and exercise of
citizenship are fundamental to a sustainable future.
Employee Wellness • 5
Enriching Employee Values and
Self-Esteem: The Marketing Store
Monica Yim
Senior Director
The Marketing Store
In 2005, The Marketing Store (TMS) initiated an employee
development program for suppliers. The program goal was to enhance
production efficiency and output by providing well-rounded development
opportunities to their employees and to enrich employees’ values and
elevate self-esteem.
Opportunity:
Solution:
The program has four elements.
Widen Knowledge enhanced factory employees’ competency in
interpersonal skills. TMS encouraged factories to provide training,
such as management skill training for supervisory staff, team building
techniques, interpersonal relationship/skill training, effective
communication workshops and comprehensive training.
Promote Worker’s Skills encouraged expanding knowledge in areas like
reading, computer skills, communications, video broadcasting, internet
online service and arts and museums.
Realize Potential developed workers’ potential and encouraged them to
build their confidence through job rotation, promotion opportunities,
incentives for self-enhancement and recognition/performance awards.
Show Talent exhibited workers’ talents through numerous activities, such
as basketball, drawing, dancing, paper-folding, calligraphy, choir, guitar,
gardening, knitting and chess. TMS kicked off the program with a Talent
Showcase for the factories’ employees in China in March 2005, providing
a platform for workers to show off their talent, creativity and increase
their self-confidence. The participants included 8,000 workers and
management teams from 13 suppliers.
6 • Employee Wellness
Results: The 30,000+ employees from our core factories who
participated in the employee development program experienced:
Enriched lifestyles and personal habits
Increased job competency
Knowledge and self-confidence
Enhanced communication and presentation skills
Increased sense of belonging
Improved communication between management and workers
Promoted a spirit of teamwork
Built friendships at all levels throughout the factories.
The program also facilitated the stability of the workforce, with an
average turnover rate of about 12 percent, compared with 20 percent
before the program, providing a stable workforce and high productivity.
The program also built strong relationships with core suppliers and moved
them to adopt social accountability as a business priority.
Better Health Reduces Turnovers
and Injuries: Simplot
Michael Hedley
National Human Resources Manager
Simplot Australia
Simplot Australia’s employee health initiative, the BeWell
program, launched in September 2006. It supports employee health by
providing free annual voluntary health checks to identify potential health
issues. BeWell also challenges individuals to take responsibility for their
own health.
Opportunity:
Solution The BeWell program is staffed by health professionals who
deliver health checks on-site and explain the results to participants. Staff
who participate have the following measurements taken:
Supporting Women at Work: Brasil Foods
Gilberto Orsato
Human Resources Officer
Brasil Foods
About 50 percent of Brasil Foods’ employees are women.
The company has developed an educational program for pregnant
employees, with the goal of helping them attain healthier and more
trouble-free pregnancies.
Opportunity:
Solution: Different professionals from the company’s multidisciplinary
health team give monthly talks, attending all three work shifts. Each talk
lasts for 45 minutes and covers:
Anatomy, fertilization and sexual relations
Pregnancy and the family budget
Blood pressure
Psychological aspects of pregnancy
Cholesterol
Pregnancy and dental care
Blood glucose
Maternal immunization
Body Mass Index
Pregnancy and physical activity
Waist circumference
Physical changes and common complaints of pregnancy
Company-financed programs provide employees with opportunities
to enhance their physical and mental well-being through a series of
employee-led initiatives and activities that include:
Pregnancy myths and beliefs
Social aspect of pregnancy and the workplace
Signals and symptoms of childbirth
BRW Triathlon
Delivery and pain management
Fact sheets on health
Care of newborn babies
Round the Bay in a Day cycling
Phonoaudiology and newborn babies
Access to gym facilities
Newborn myths and beliefs
Oxfam 100km walk
Breastfeeding
Smoking-cessation programs
Exercises for newborn babies
Results: The benefits of the program are two-fold, for the employee and
the company. Employees have a high level of awareness and engagement
in the program, which is promoted through our internal communication
channels. Employees have the opportunity to learn more about their
health, understand the risk of preventable diseases and implement
healthy eating and exercise programs.
For the employer, the BeWell initiatives may improve productivity and
staff morale, while reducing absenteeism and workplace injuries. The
BeWell program, in conjunction with other company initiatives, has
contributed to below-industry turnover rates and significant reductions in
our Lost Time Injury Frequency Rate, Medically Treated Injury Frequency
Rate and the number of recorded incidents. Indications show that these
measures will continue to improve.
Dental care and newborn babies
Immunization of newborn babies
Infant nourishment
Signs and symptoms of postpartum depression
Results: The program is active at the company’s manufacturing
plants in Rio Grande do Sul, Santa Catarina, Paraná, Goiás, and Mato
Grosso. To date, more than 5,000 female employees have participated
in the program.
Employee Wellness • 7
animal
welfare
Animal welfare includes efforts to improve
nutrition, husbandry, and welfare during transport
and slaughter. It also involves ensuring responsible
use of medication, growth promoters and
genetic selection. Best practices go beyond
basic obligations in our animal welfare standards
to demonstrate proactive improvement of
animal welfare.
Humane Slaughter Techniques in China:
OSI China
Jenny Qu
QA Manager
OSI China - Husi Food Company, Ltd.
OSI China wanted to implement animal welfare practices
and expand these humane slaughter principles throughout the Chinese
supply chain. OSI China’s collaboration with the World Society for
the Protection of Animals (WSPA), Chinese government agencies and
leading Chinese agricultural universities is meant to share global humane
slaughter best practices within China.
Opportunity:
Solution: Raw Material Quality Assurance Specialists from OSI China
successfully passed the training course on humane slaughter by the
WSPA and Beijing Chaoyang Anhua Animal Product Safety Research
Institute (APSRI). Both WSPA and APSRI invited Husi’s trained staff to
become the supervisor of the Chinese Humane Slaughter Project and
work in conjunction with the Chinese government to implement and
enforce humane slaughter measures. These well-trained QA specialists
and APSRI will implement these humane slaughter measures throughout
all McDonald’s suppliers in China.
Local Chinese meat suppliers now follow practices that ensure
the welfare and humane treatment of animals in our supplier chain.
Results:
8 • Animal Welfare
Scientific Search for Sustainable
Egg Production: Cargill Kitchen Solutions
Stephanie Quah
Jutta Schmid
McDonald’s Business Manager
Cargill Kitchen Solutions
QA Manager Raw Material
osi/esca Food Solutions
Rickette Collins
Quality Manager
McDonald’s USA
U.S. commercial-scale research on all the aspects
necessary for humane, safe and environmentally and economically
sustainable egg production is insufficient, so a group effort to fill the
gaps in scientific knowledge is needed.
Opportunity:
Solution: The Coalition for Sustainable Egg Supply was formed to
address the significant gap in scientific knowledge related to the
comprehensive impacts of laying-hen housing systems. The Coalition’s
goal is to research three laying-hen housing systems, measuring
performance across five sustainability factors:
Environmental impact
Food safety
Worker safety
Animal health and well-being
Food affordability
The scientific-based research will enable organizations and consumers
to make informed purchasing decisions that are ethically grounded,
scientifically verified and economically viable.
Cargill Kitchen Solutions and McDonald’s are on the leadership
team of the Coalition, along with representatives of Michigan State
University, University of California-Davis and the American Humane
Association. Since the Coalition was formed in late 2009, four additional
members have joined the team. Permitting and construction are underway
for the research site. The Coalition is active in hen housing debates,
advocating the need for additional research on the comprehensive
sustainability effects of different housing systems.
Results:
Fact-Finding on Effective Stunning:
OSI Europe - Esca Food Solutions
Opportunity: Waterbath stunning is the most common method for
broilers, but systematic research about its effectiveness, a core animal
welfare requirement, was lacking. OSI/ ESCA Food Solutions conducted a
comprehensive study in partnership with universities in Germany and the
Netherlands to discover the optimum electrical protocol in commercial
slaughterhouses, based on the effects of electrical parameters on the
electroencephalogram (EEG) test for brain activity and physical reflexes
of broilers.
Solution: A range of electrical setups were applied in commercial
waterbath environments under equal experimental conditions to achieve
good stunning results, methodically testing parameters such as current
levels, type of current, and frequency. Stunning effectiveness was
assessed using EEG analysis together with an evaluation of physical
reflexes, including the development and evaluation of the EEG Clamp, a
non-invasive device for recording brain waves. The aim was to maximize
the stunning efficacy and validate the effectives by comparing the birds’
unconsciousness. Two different currents were tested – AC (alternating
current - rectangular) and DC (direct current – pulsed DC 50:50).
Results: The study showed that stunning efficacy is mostly dependent on
frequency for both AC and DC stunning. High frequency stunning was not
effective, i.e. maximum acceptable frequency at 150 mA is around 400 Hz.
Additionally, current plays a major role for AC stunning – low current level
showed no efficient stunning results. Physical reflexes such as breathing,
wing flapping, and eye reflexes were most always present – even in wellstunned birds – however, eye reflexes were most correlated with the EEG
results. In order to account for different processing lines and bird types/
sexes, similar research should be conducted in other areas of the world to
validate these findings.
The results of this study were broadly communicated at a number
of international symposiums, and OSI/ESCA’s research into the
optimum integrated electrical setup for slaughterhouses was recently
incorporated in EU proposals for improving animal treatment at time of
slaughter. Further tests are under way to demonstrate the influence of
efficient electrical set-ups on meat quality, like hemorrhages or broken
wish bones.
Animal Welfare • 9
Controlling Extreme Temperatures:
Keystone Foods
Healthier Dairy Calves: Arla Foods
Nic Parsons
Senior Agricultural Manager
Arla Foods
Ken Opengart
Vice President, Live Operations and Processing
Keystone Foods
Keystone Foods Poultry Division is committed to
improving animal welfare and operating under strict animal care
guidelines. The company wanted to improve poultry welfare during
transportation and reduce the risk of injuring chickens. Poultry operations
are complex and cover a very wide radius, so transportation distances
between the farms and the processing plant average more than 100
miles. Weather conditions can adversely affect the operations in many
ways. During the winter months, the wind chill effect on transported
birds is significant and, as a result, the number of birds which die during
transport (DOA) increases. In summer months, DOAs are higher because
of extremely hot temperatures.
Joy Clachan
Agriculture Assurance Manager
McDonald’s UK
Opportunity:
During winter months, the company instituted a cage-wrapping
program using polyethylene stretch film to lower DOAs and improve
animal welfare during transportation. Guidelines were developed to
instruct catch crews as to when individual cages should be wrapped.
Solution:
In summer months, the team outfitted a flatbed trailer with fans and a
water tank to combat the heat. The trailer is pulled to the farms to cool
the birds with a water mist while they are being loaded. The holding sheds
at the plant are also equipped with fans and water spray nozzles as well.
Electronic sensors are used to turn fan shed water on and off so that an
appropriate amount of water is used.
Results: The plant has consistently improved DOA numbers every year
since beginning operations. Each year, the company reviews the standard
operating procedures and make changes that result in a continuing
improvement program for animal welfare and DOAs. In 2009, Keystone’s
Kentucky Division achieved 54 percent fewer DOAs compared to the
industry’s average big bird complex.
Opportunity: The Dairy-Calf-Partnership (D-C-P) project, jointly funded
by McDonald’s and Arla Foods for the past 18 months, is intended to
deliver benefits to all British dairy farmers as well as those supplying milk
to McDonald’s. The project, involving 4 dairy farms, is focused on animal
welfare issues such as:
Mobility
Disease incidence and prevention measures
Calf health
Processes to improve beef supply chain productivity and reduce losses
of calves.
The goal is to create a more efficient and profitable supply chain for dairy
farmers supplying calves and beef farmers producing finished animals.
Solution: Monthly mobility scoring is focused on factors that contribute
to raised levels of lameness, providing guidance on foot-care treatments
and lameness prevention. Samples of blood from newborn calves are
analyzed to measure IgG levels, a measure of passive immunity gained by
the calf from the mothers’ colostrum. Farmers monitor the results, make
appropriate changes and track improvements in calf health and reduced
mortality. Cows have quarterly samples taken that measure Johne’s
disease incidence to reduce the risk to the newborn calf by either direct
transmission via suckling and/or muck contamination. Cow screening is
the first step to eradicating the disease from McDonald’s D-C-P project
farms. IBR, BVD, Leptospirosis, and Liver Fluke are diseases tested for
quarterly via a bulk tank milk sample.
Results: Wider disease-prevalence screening of the herds within the
D-C-P project is helping to develop McDonald’s strategies that support
dairy farmers throughout the U.K. Initiatives to reduce risk by vaccination
or other treatment reduce health and welfare issues across the dairy
herd. Collaboration with Food Animal Initiative, McDonald’s, Arla Foods,
and National Milk Records has developed systems, monitoring and
improved focus on animal welfare on the project farms. These will lead
to proposals for the welfare strategies to be rolled out across the U.K.
dairy industry.
10 • Animal Welfare
Comprehensive Pork Welfare:
Smithfield Foods
Free Range Eggs… And 80,000 Trees:
The Lakes Free Range Egg Company
Bill Gill
Dave Brass
AVP Environmental Affairs
Smithfield Foods
Managing Director
The Lakes Free Range Egg Company
As the world’s largest hog producer, Smithfield Foods has
long understood the importance of the health and welfare of the animals
we raise. The company developed a broad-based program that addresses
animal treatment, handling and transport – key to not only the animals’
welfare, but also to product quality and business success.
Opportunity:
A number of policies/programs address animal welfare
through a framework provided by our Animal Welfare Committee, which
includes cross-functional input from of a variety of stakeholders. Our
comprehensive animal welfare program was developed based on the
American Meat Institute’s Animal Handling Guidelines and input from
animal behavior and handling experts. Our animal welfare professionals
are trained annually and certified through the Professional Animal
Auditor Certification Organization. Specific customer requirements
are also included.
Solution:
Third-party audits are provided by organizations like the USDA’s
Agricultural Marketing Service. Smithfield Foods’ processing operations
use CO2 stunning which provides for animal welfare while maintaining a
high-quality product and efficient processing operations, viewed by many
animal scientists, veterinarians and experts as less stressful for hogs. We
also have trained and equipped emergency response teams to address all
facets of an accident that may occur during transport. These teams work
with police, rescue workers, media and the animals to ensure that any
impacts of an accident are minimized and addressed efficiently.
Results: We teamed with the National Pork Board (NPB) to develop a
unified approach to animal care for the entire industry. Known as Pork
Quality Assurance Plus, this is similar to our original program, but is
administered by NPB and supported by the National Pork Producers
Council. All of Smithfield’s company-owned farms and contract growers
have completed certification and site assessments. Jennifer Woods, a
livestock handling expert, has praised our emergency response program
as “the standard for the industry in live-haul emergency response.”
Opportunity: The Lakes was formed 12 years ago with a simple objective
– to profitably supply free range eggs to the highest standards of welfare
and environmental sustainability.
The company produces only free range eggs at more than 50 supply farms
producing to levels above the already-high requirements established by
the British BEIC Lion and Freedom Foods standards.
Solution: Each of its farms is stocked at only 1,000 birds per hectare
(about 2.5 acres), tighter standards than both U.K. and EU regulations
require. The company has planted more than 80,000 native species
trees in recent years, benefiting its birds as well as native wildlife, plant
and tree species. Each supply farm has a minimum of 20 percent of the
ranging areas planted with trees to encourage essentially timid birds to
range widely in large numbers, safe in the knowledge they are protected
from predators.
Birds are reared within 70 miles of laying farms to avoid welfare issues
on long, stressful transport journeys. As far as the company is aware,
the Lakes is the first and only egg company in the U.K. to be “Investors
in People” qualified, with structured staff training actively encouraged
for all. Production units have been designed with natural ventilation,
producing up to 70 percent more efficient use of energy, and all farms
have Biodiversity Action Plans designed to national U.K. standards and
biodiversity aspirations, as well as written stewardship plans as to how
they will conserve and develop their environmental farming credentials.
Results: The Lakes was selected as part of the launch of the McDonald’s
European Flagship Farms programme. The production system of lowstocking, single-tier, naturally ventilated units with tree enriched ranges
developed at the Lakes with some of its partner customers such as
McDonald’s is regarded as one of the highest welfare systems in the UK.
Science has shown that well-feathered birds experience less stress,
lower disease levels and better production. Work at the Lakes in the
last 2-3 years with its range enrichment has resulted in significant
improvement in feather score and the associated beneficial effect that
has on animal welfare.
Animal Welfare • 11
climate /
energy
The primary ways that our direct suppliers
can reduce their carbon footprints is through
increasing energy use efficiency or use of
renewable energy. They can also demonstrate
best practice by identifying other reductions in
greenhouse gas emissions and taking steps to
reduce them.
Climate Change Supply Chain Engagement:
ConAgra Foods
Marcella Thompson
Director Sustainable Development
Conagra Foods
As one of North America’s most prominent food
companies, ConAgra Foods understands it can influence the marketplace
to act responsibly through purchasing decisions. By promoting an open
dialogue with suppliers and business partners, ConAgra aims to address
many important issues, including sustainability.
Opportunity:
Solution: To encourage greater awareness and transparency related to
climate change issues, ConAgra Foods became a member of the Carbon
Disclosure Project (CDP) Supply Chain Leadership Council (SCLC).
In 2009, ConAgra requested that its top 65 suppliers and select comanufacturers disclose information related to their own greenhouse
gas management programs to the CDP. Approximately half of these
suppliers voluntarily participated, and more will be encouraged to do so
in subsequent years. Engaging the supply chain in this effort is important
for two reasons:
It allows better identification and assessment of risks associated with
climate change by providing insight to carbon intensity across the supply
chain and the measurement and transparency encourages suppliers to
take action to reduce their greenhouse gas emissions.
Participation in the SCLC provides ConAgra with insights to participating
supplier’s carbon emissions and management programs through annual
performance tracking using standardized metrics across companies.
Performance scoring is focused on emissions awareness, reporting,
reduction efforts and implementation practices.
Results: Through the SCLC, ConAgra Foods receives a customized
dashboard report highlighting performance results, including best
practices by other SCLC member companies. By requesting suppliers to
participate, ConAgra sends a clear message that climate change ranks as
a high priority.
12 • Climate / Energy
Comprehensive Waste-To-Energy Solution:
Gills Onions
Harnessing the Energy of Potatoes:
Frisch & Frost
Nikki Rodoni
Gerfried Pichler
Director of Sustainability
Gills Onions
Managing Director
Frisch & Frost
Gills Onions wanted to improve energy efficiency and
reduce costs and greenhouse gas emissions at its Oxnard facility, the
largest fresh-cut onion processing plant in the world. According to the
University of California-Davis, food processing is California’s third
largest industrial energy user. Electricity prices are a significant cost
factor as onion processing facilities require extensive chilled water and
space refrigeration.
Measures to improve energy efficiency and conserve
resources are a central theme for Frisch & Frost. The company looks to
increase energy independence and optimizes all plants to reduce longterm energy consumption. Furthermore, “from soil to soil” reflects the
goal of returning to the soil what has been taken from it.
Opportunity:
Opportunity:
Solution: Gills developed a comprehensive solution to convert its waste
into energy through an Advanced Energy Recovery System (AERS).
The AERS extracts onion juice from the onion waste – up to 30,000
gallons/day – and transforms it into energy using an advanced, high-rate
anaerobic digestion system to produce methane-rich biogas powering
two 300-kilowatt fuel cells. The remaining waste becomes high-value
cattle feed, supporting another agriculture market. The solution includes
a heat transfer loop to collect waste heat around the facility and deliver it
where needed.
Solution: Frisch & Frost processes all its biogenic waste at its own
biogas plant onsite at Hollabrunn, Austria. In the organic gas facility, both
the liquid waste (production effluent from washing and rinsing the raw
material) and the solid material (waste potatoes and production waste)
are treated to use the potato by-product’s energy content. The solid
waste matter is sieved, finely grated into a porridge-like consistency
and pumped into the organic gas reactor for conversion to gas. The
fermentation residue is delivered to farmers, who use it as high-quality,
natural fertilizer on their potato fields. The gas is linked to a generator via
block heating to produce green electricity. The electricity produced now
feeds the public grid. Heat produced by the block heating process is used
to heat water in the plant. Excess heat is used to preheat the dryer on the
french fries production line.
Results: This sustainable waste-to-energy solution converts 100 percent
of our onion waste into ultra-clean, renewable energy and high-value
cattle feed – eliminating up to 14,000 tons of CO2 equivalent greenhouse
gases and providing about 60 percent of our annual power. The combined
heat and power efficiency of the AERS now approaches 90 percent,
compared with 30 percent for conventional power generation, resulting in
a positive environmental impact factor of 3:1.
Ted Barnes of the Gas Technology Institute says the AERS “…combines
energy and waste reduction goals into a successful model for sustainable
agriculture and food production facilities worldwide.” Gills achieved
annual savings of $700,000 in electricity costs and $400,000 for avoided
diesel fuel, which was previously used in equipment to transport, compost
and land-apply onion waste. Gills is also a founding member of The
Climate Registry.
Results: The organic gas facility produces about 6 GWh energy per
year, which supplies 2,000 houses with electricity and saves 30 percent
of on-site electricity. This helps reduce CO2 emissions by 1,050 tons per
year and cuts nonrecyclable waste by 12,060 tons, or 60 percent, in 2009.
Heat recovery from the block heating process produces 4.2 GWh per year,
which results in gas savings of 4.6 GWh and reduces CO2 emissions
by 890 tons. In total, Frisch & Frost reduces about 1,940 tons CO2
emissions per year and saves about 40 percent of total electricity and
gas consumption.
Climate / Energy • 13
Recovering Biomass for Energy: Inalca JBS
Giovanni Sorlini
Head Dept Quality Assurance, Safety and Sustainability
Inalca JBS
Energy Efficiency in Toy Factories: The
Marketing Store
Monica Yim
Senior Director
The Marketing Store
Inalca JBS’s goal is to achieve self-sufficient renewable
energy production by exploiting the energy content of organic waste and
byproducts from cattle slaughter and processing.
Opportunity:
Solution: Inalca JBS developed a Green Energy Self-Sufficiency
Program – from waste to energy system – that will ultimately convert
tallow, other animal byproducts and liquid and solid organic biomasses
to energy through an innovative network of processes. Today, the Inalca
JBS slaughtering plants recover up to 50 percent of these biomasses
and transform it into green energy through new biogas and composting
plants. The anaerobic digestion and composting processes comprise
the first step in a rapid plan towards a complete system of using
biomass for energy production. Through 2012, Inalca JBS is staging the
implementation of a combination of combustion, cogeneration and
thermal technologies that will create energy from all the different types
of biomasses.
Solution: TMS initiated an energy reduction program with our suppliers
by setting annual measurable reduction targets. Our suppliers have taken
various measures using advanced equipment to achieve efficient energy
usage. Using the example of New Area Toys Limited in Zhuhai, China, the
equipment includes:
Opportunity:
By 2010 Inalca JBS will produce around 2,500 MWh of energy
from 104 daily tons of biomass. This will provide up to 3 percent of its
energy needs and save up to 1,000 tons of CO2 emissions. By 2012 Inalca
JBS will produce 76,000 MWh from 499 tons, which is around 82 percent
of predicted energy needs. The CO2 savings of up to 30,000 tons will
represent a more than 60 percent reduction of energy-related emissions.
A secondary environmental benefit is avoiding the nitrogen pollution
that would otherwise occur if the organic waste were directly spread on
land, in full compliance with regulations protecting water from nitrogen
pollution on vulnerable lands (Dir 91/676/CE - D.lgs 152/2006).
Results:
In 2008, The Marketing Store (TMS) took proactive
measures to enhance energy efficiency by minimizing energy
consumption and using renewable energy in core factories. The objective
was to reduce the environmental impact of factory operations and
upgrade the client’s corporate and product image.
Energy-saving injection machines
Environmentally friendly air-conditioning
An energy-saving hot water system
T5 fluorescent tubes with electronic ballasts
Alternative energy sources for equipment, like a solar hot water supply
system installed in New Area’s dormitory to reduce the need for diesel oil.
In addition, TMS has helped its suppliers modify operation and
administration procedures and provide awareness education and
promotion to employees in order to reduce energy consumption. TMS also
conducts regular audits at the factories to monitor energy reduction and
evaluates plan effectiveness by monitoring energy consumption every
quarter.
Results: The energy savings from using advanced equipment in New
Area, compared with ordinary equipment, have been significant:
Energy-saving injection machines, 30 percent
Environmentally friendly air-conditioners, 40 percent
Energy-saving hot water system, 40 percent
T5 tubes with electronic ballasts, 35 percent
Dormitory solar hot water system, the equivalent of 20,000 liters of
diesel oil per year, which reduces 53,600 kg of CO2 emissions.
Broader environmental results also result from the education of
more than 60,000 employees on the importance of saving energy and
environmental awareness.
14 • Climate / Energy
Harnessing the Wind: McCain Foods
Freeze With the Sun: HAVI Logistics
Richard Marcroft
Christoph Thünemann
McDonald’s Business Unit
McCain GB
General Manager Corporate Communications & Environment
HAVI Logistics
McCain aimed to move away from energy generated by
fossil fuels toward energy from renewable sources, helping to meet the
U.K.’s international obligations and capturing significant financial savings.
According to the HAVI Logistics environmental principles,
and in line with our corporate culture, we want to affect the environment
as little as possible by our activities. One objective, wherever possible, is
to ensure that we do not leave the sun unused as a gigantic, inexhaustible
power plant.
Opportunity:
Opportunity:
Solution: The company invested £10 million to construct three of
the U.K.’s most powerful on-shore wind turbines at our Whittlesey
site, the largest fry factory in the U.K. During the 18-month planning
and installation process, McCain consulted extensively with local
stakeholders and conducted an assessment of the potential noise that
the turbines would create. Due to the large distance of the turbines from
the nearest property, they concluded that noise contribution from the
turbines would be at, or below, current background levels, and would
not be an issue. The company also engaged with other stakeholders –
including Fenland District Council, Network Rail and Environment Agency
– to make sure concerns over turbine plan approval were addressed. All
stakeholders were supportive and, through mutual cooperation, McCain
and various local groups managed to secure the support of the local
community. A survey was also commissioned to ensure the turbines would
not interfere with bird migration patterns.
Solution: HAVI Logistics became fascinated with the obvious
contradiction that we could use the enormous heat of the sun to produce
cold air to store McDonald’s products “deep frozen and chilled” in our
warehouses. We were driven not only by the smart use of existing energy
from the sun, but also awareness of effective energy use generally. We
found the perfect opportunity to install the most efficient photovoltaic
solar energy plants at our Distribution Centers in the southern countries
of Europe (pictured here, Pedro de Bernardo, Managing Director HAVI
Logistics Spain and Patricia Abril, President and Managing Director
McDonald’s Spain). The annual exposure to the sun’s rays is between
1,350 and 1,750 kWh/m2. The first two solar plants are now successfully
producing energy for our freezers and chillers, and we have installed our
first solar hot water system.
Results: The turbines now provide up to 60 percent of the annual
Results:
electrical power required to operate the plant annually, reducing CO2
emissions by 10,000 tons in 2009. When the plant is not operating, surplus
electricity is sold back to the National Grid.
In Osuna, Spain, more than 60 percent of the total energy
needed for cooling will be delivered by the sun. In Monterotondo, Italy, the
solar energy plant already covers 65 percent of the energy needed for the
freezer and 52 percent of the energy used for the chiller and cool dock. In
Portugal, we are almost independent from natural resources to provide
warm water for the personal hygiene needs of our employees. Tapping the
sun has reduced CO2 emissions by 422 tons per year.
Climate / Energy • 15
waste
Happy After-Life for Toys:
Citadel Information Management &
HAVI Global Solutions
Steve Mortensen
Product Manager
Havi Global Solutions
Best practices in the category of waste include
those they promote reductions of waste in
production, reductions of hazardous waste, and
reductions of waste to landfill.
Paul F. Swenson
President/CEO
Citadel Information Management
In managing the process of securely disposing of excess
Happy Meal® premiums, HAVI Global Solutions has engaged our suppliers
to explore and implement recycling initiatives. The premiums are securely
shredded and sent to recyclers who sort the materials and distribute
them to various other suppliers for use in their products. Additionally, 100
percent of the corrugated boxes are baled and recycled.
Opportunity:
Solution: With a significant number of Happy Meal® premiums to be
disposed of in 2009 due to regulatory compliance, coupled with the
secured disposal requirements for expired inventory, HGS partnered
with Citadel Information Management to explore and implement secure
recycling of both Happy Meal® premiums and corrugated boxes. Initial
time studies were conducted to determine the throughput and value of
manual sorting. This led to the validation of Citadel’s capital investment
in automated machinery. In addition, extensive networking was
conducted by Citadel to locate suppliers capable of processing the
resulting materials.
In 2009, this initiative enabled Citadel to recycle nearly 90
percent of residual premium materials – reducing our landfill waste to
merely 10 percent of prior levels. The total recycled materials of both
premiums and corrugate in 2009 resulted in the following estimated
environmental impact: 1,357 tons of recycled plastics (representing
5,223 barrels of fuel oil saved and 6,785 cubic yards of landfill saved) and
635 tons of recycled corrugated boxes/paper resulting in an estimated
savings of $3.3 million in extrapolated cost avoidance from paper mills
using recycled vs. virgin paper (representing 10,795 trees, nearly 4.5
million gallons of water and 2.6 million kilowatts of energy).
Results:
16 • Waste
Decanter Technology Saves Oil:
OSI Europe - Esca Food Solutions
Claudia Holzem
Environmental Officer
OSI/Esca Food Solutions
A key objective of any robust sustainability plan is the
prevention of waste. With its “Decanter” technology, OSI/Esca Food
Solutions sought to reduce the amount of waste frying oil used in the
production process. In 2002, the yearly amount of waste or ‘old’ oil
(oil that fell outside set internal specifications and quality standards)
accounted for about 220 tons.
Opportunity:
Solution: OSI/Esca Food Solutions, in cooperation with a mechanical
engineering company, developed a special technology, formerly used in
the milk processing industry and modified to filter hot and greasy
frying oil.
By using the Decanter and adjusting the production process,
the yearly amount of waste frying oil has been continuously reduced since
2002 and now stands at 10 tons – a savings of 95 percent.
Results:
Zero Waste Tolerance: Gills Onions
Nikki Rodoni
Director Of Sustainability
Gills Onions
At Gills Onions, sustainability means taking full
responsibility for identifying reduction and diversion opportunities for all
materials produced or consumed in our operational processes. To this end,
we set a goal of achieving zero waste by 2010. As a reference point for
this initiative, we measured all waste streams to determine how close we
were to this zero waste goal. At Gills Onions, onion waste represents 99
percent of the solid waste generated (100-150 tons daily), while material
waste comprises the remaining 1 percent.
Opportunity:
Solution: In 2009, we began diverting onion waste to produce electricity
and cattle feed. Moreover, we set a target to double landfill diversion of
material waste to 50 percent by 2010 and to reduce the overall amount of
waste generated by at least 10 percent. To accomplish these objectives,
we improved our internal processes to recycle all film plastic, cardboard
and other paper products. Additionally, we deployed waste minimization
strategies aimed at curbing the use and unnecessary waste of materials
such as paper towels, tissues and gloves. We also made improvements to
dispensers and practices in our facility.
Results: We estimate that by implementing a comprehensive recycling
program, expanding our waste reduction initiatives and quantifying
material use, waste diversion will amount to 99.5 percent by the end of
2010. According to the results from a waste characterization conducted
in January 2010, we are on target to achieve our goal: material waste
has declined by 12 percent, diversion from landfill has increased from
25 percent to 53 percent, and 100 percent of our onion waste (1.5 million
pounds per week) is being diverted from disposal to create renewable
energy and nutritive cattle feed.
Waste • 17
Banking On Potato Waste: Agrarfrost
Thomas Modigell
Making Less Packaging Go Farther:
Brasil Foods
Plant Manager
Agrarfrost
Agrarfrost saw the potential benefits in recycling potato
waste materials. The goal was to improve and protect the habitat for local
plants and animals.
Joaquim Goulart Nunes
Technology and Quality Director
Brasil Foods
Opportunity:
Solution: During the processing of the raw potato material, stones,
soil residues, plant parts, and potato stems were mechanically rejected,
separated, and disposed of by conventional means. Today, our recycling
equipment separates all materials into their respective individual parts
so they can be used further. For example, larger quantities of stones
are used in cooperation with fishing organizations for re-naturation of
spawning grounds in local waters. In addition, we are providing rejected
stones to nature protection associations who use them to build stone
banks as habitat space for protected species such as lizards.
Species are now being protected by providing sorted stones
from the potato washing process to aid in establishing stone banks to
help native lizard species and to provide attractive spawning grounds for
the local fish.
Results:
Opportunity: The objectives of Brasil Foods’ Packaging Research and
Development Team are to reduce the volume of raw materials used in
packaging, then optimize packaging and palletization to transport more
products using the same space.
Solution: Brasil Foods reduces packaging consumption by testing new
materials, specifications and dimensions that permit a reduction in the
weight of the packaging without altering the volume it contains. A basic
premise is that the quality of the new packaging must be at least equal
to that of existing packaging. The company optimizes palletization
by altering the shipping case depending on the way the products are
packed, since the dimensions of the cases determine the quantity of
product that can be placed on a pallet. Using software that permits a
three-dimensional view of the entire process (product -> case -> pallet),
altering the way a series of products are stacked increases the number of
cases transported per pallet. This engineering solution makes it possible
to increase the cubic efficiency of packing, moving the same number of
items on a smaller number of pallets.
As a result of research performed in 2009, the following
reductions were achieved in the volume of packaging materials:
Results:
Corrugated cardboard, 384,067 kg
Flexible packaging, 148,396 kg
Labels, 52,770.181 kg
Rigid packaging, 21,761 kg
Sterilized cartons, 6,088 kg
Metal, 1,578 kg
These improvements lower our environmental impact, either by reducing
the consumption of natural resources used in the production of packaging
material and/or by reducing the amount of solid waste generated
after use. In 2009, improvements to the palletization process enabled
us to reduce the number of pallets used by 50,775 pallets per year,
the equivalent of 1,953 truckloads, thus contributing to a reduction in
greenhouse gas emissions.
18 • Waste
New Life for Packaging:
The Coca-Cola Company
Turning Waste Into Valuable Compost:
Cargill Meats
Laura Vansant
Mike Richtig
Sustainability Manager
The Coca-Cola Company
Environmental Manager
Cargill
Opportunity: The value of packaging is often seen as a paradox.
Packaging plays an essential role in meeting consumer needs and
preventing waste by effectively protecting products during delivery.
However, once emptied, packaging is considered by many to be a wasteful
and burdensome problem. The Coca-Cola Company is actively working
throughout its system to create solutions that prevent waste over the life
of its packaging.
Solution: The Coca-Cola Company envisions a world where its packaging
is no longer seen as waste, but as a valuable resource for future use.
Coca-Cola works toward achieving this vision in many ways. One is to
invest in sustainable technologies that enable greater use of recycled
content in its packaging. Using these technology advances, the company
has been able to achieve up to 50 percent recycled content in its PET
bottles and 60 percent recycled content in the corrugated box of its
bag-in-box fountain package. Another way the company is working
toward its vision is to give packages an “afterlife” by transforming them
into products consumers use every day. In 2007, Coca-Cola invested in
designing and producing sustainable fashion apparel and accessories
made from recycled PET (rPET) bottles. In 2010 the Coca-Cola Company,
along with Emeco, will introduce the iconic Navy Chair made with rPET.
The original Navy chair can be found in some McDonald’s restaurants
around the world.
Opportunity:: Cargill wanted to reduce landfill waste at its meat plants
and extract value from waste.
Solution: Cargill’s Beardstown facility received state approval and
constructed a site to compost all agricultural waste from its plant,
combining it with other cellulose material to create a valuable compost
material. Cargill’s Wapello facility followed suit, working with a thirdparty contractor to provide the same service.
Cargill Pork Beardstown was able to eliminate 95 percent of
land applied and landfill waste materials. The Wapello facility also found
efficiencies, eliminating as much as $63 per ton of landfill costs. Other
Cargill Meat plants have adopted this practice, reducing Cargill Animal
Protein’s direct land application and landfill volumes by more than 75
percent over the past five years. This has created a winning situation for
Cargill, local partners and these local communities.
Results:
Coca-Cola collects or recovers more than 35 percent of the
equivalent bottles and cans it sells. The goal is to increase recovery to
50 percent by 2015. In February 2008, Coca-Cola received the National
Recycling Coalition’s prestigious “Recycling Works” award recognizing
the Company’s recycling goals, commitment to sustainable packaging and
investment in recycling infrastructure.
Results:
Waste • 19
water
Saving Water in China: McCain Foods
Steve Ash
Plant Manager
McCain
China supports 20 percent of the world’s population with
only about 7 percent of the global water supply. In northern China where
McCain Harbin is located, the shortage of water is particularly acute. To
preserve our future, Harbin launched a water-saving campaign in 2009.
Opportunity:
Suppliers may demonstrate best practices in the
category of water by improving water use
efficiency or reducing water pollution.
Solution: McCain Harbin installed a blancher energy recovery system
to reclaim water and energy. Recovered water is used to flush drains,
preserving an estimated 56,000 tons of fresh water each year. We
installed water meters to monitor water use for different applications
and purchased high-pressure cleaning units to replace high-flow rate
cleaning hoses. Employees have been trained on simple steps they can
take in their daily work to save water and educated on the importance of
conserving this precious resource. Employees are now using squeezes
to clean floors instead of hosing the floor waste with large amounts of
water. Treated waste water is used for watering lawns, which is low cost
and provides nutrients to the lawn.
Results: Water use has dropped from 14 liters per kg of finished product
to under 10 liters per kg of finished product. This represents a 30 percent
improvement in the first year.
20 • Water
Teaming Up For Water Conservation:
Keystone Foods
TRACKING Water’s Footprint:
Cargill Meats Europe
Ken Opengart
Hugo Jansen
Vice President, Live Operations and Processing
Keystone Foods
Business Development Manager
Cargill Meats Europe
Keystone Foods’ USA Proteins division is committed
to reducing water consumption in all its facilities. In fact, the Georgia
division pledged to decrease water use by 10 percent, while the Kentucky
division made upgrades and maintenance a top priority. These plants
decided to apply new, innovative techniques to wastewater treatment in
order to conserve water.
Opportunity:
Solution: Water conservation teams were formed in both Equity Group
Georgia and Kentucky to focus on best management practices. Various
projects, including low-capital investments, were created in an effort
to reduce water use. In the Kentucky Division, inefficient water screens
were replaced, equipment costs were controlled by adding wastewater
trenches to divert flow during peak hours and the number of outdated
nozzles decreased as more effective ones were installed. In the Georgia
Division, similar projects were introduced:
Manual handwashing stations were replaced with demand sensors.
Flow-restricting orifices were installed where continuous running
water was necessary.
Water conveying systems were replaced with belt ones.
Because water is a scarce resource, Cargill Meats Europe
wanted to understand how much water is used across the chicken supply
chain dedicated to McDonald’s in Europe.
Opportunity:
Solution: Cargill Meats Europe researched available software and
selected the water footprint tool developed by the World Business
Council for Sustainable Development to assess water use by source
for all the key steps in its supply chain, from hatcheries to farms to
slaughterhouses and to further processing locations. Water use was
measured by source (municipal/borehole/surface water). The analysis
even included the water used to grow crops for broiler feed.
Results: Water use was mapped by supplier and geographic location
and plotted against FAO/United Nations maps that indicate future water
scarcity areas. The study allowed Cargill Meats Europe to confirm that
the majority of water consumed in its broiler supply chain is sourced in
areas where water is abundant, but it also illustrated some locations
where water will become restricted - valuable information for future
raw material sourcing decisions. Based on experience from the first
study, the tool has been refined and is currently being used to produce a
comprehensive water footprint based on 2009 data.
Reuse systems were used where practical.
Demand cutoff sensors and control valves were installed to
eliminate continuous flow of specific equipment.
Total plant pressure was reduced and controlled with the installation
of a new regulator.
Results: These innovative improvements produced excellent results.
In 2009, the Georgia Division reduced water consumption by 21 percent
from 2007 while the Kentucky Division achieved a 10 percent reduction
in one year. In 2009, the Georgia Division saved more than 126 million
gallons, and the Kentucky Division conserved 49 million gallons. These
investments proved to be essential in the reduction of water use.
Water • 21
Wetlands Solution and Value:
Keystone Foods
Ken Opengart
Mike Vanderhorst
Vice President, Live Operations and Processing
Keystone Foods
Director Environment, Health and Safety
Cargill Meats Canada
Keystone’s objective with this project was to create a
discharge water treatment system that would increase its hydraulic
capacity and improve the quality of water being discharged into the
receiving stream. It also had to provide significant wildlife benefits while
remaining cost effective.
Opportunity:
After conducting extensive research, Keystone determined
that the most economically and environmentally sound solution for our
specific situation would be to construct a wetland treatment system.
Equity Group Eufaula Division consulted with environmental engineers
and constructed a 50-acre wetlands habitat with rapid infiltration beds.
Solution:
By creating this wetland treatment system, Keystone has been
able to treat the discharge water produced by its facility effectively
while keeping in compliance with state and federal discharge treatment
requirements. This wetlands system allows increased production by
its facility due to the increased hydraulic capacity of our wastewater
treatment system. The resulting habitat sustains a wide variety of wildlife
species--including fish, birds, invertebrates and plants--by providing food
and cover for them. This system also provides a high level of wastewater
treatment for low operational costs and very low energy use.
Results:
Making The Most Of Water:
Cargill Meats Canada
Opportunity: The objective at the Cargill Meats Canada London facility
was to reduce freshwater use and improve working conditions for
employees in the poultry processing business. The Primary Department
uses fresh water to prepare birds for further processing. The system to
chill these birds to their proper temperature uses approximately 268,000
litres (71,000 gallons) of water per day. The facility also evaluated using
recycled water a second time from the HVAC system to pre-rinse the
empty chicken crates.
Solution: Two rotary screens were installed. The Chiller Rotary Screen
filters out the solids from the chillers’ overflow water system, which
reduced the amount of solids going to the Waste Water Treatment Plant.
The chilled water is now pumped to a make-up air unit in the Primary
area, cooling the room for the employees. The water is then sent to a
booster pump at the crate washer to create high pressure water, helping
to remove large pieces of material off the crates before they go through
a fresh water and sanitizer spray. The Bird Washer Rotary Screen filters
out the solids from the bird washer overflow water system. The water is
recycled now to cool the vacuum pumps and recycled again to be pumped
to the crate washer, helping to remove large pieces of material off the
crates before they go through a fresh water rinse and sanitizer spray.
Freshwater consumption has been reduced at this facility by 28
percent over the past 24 months. Literally 100 percent of all the chilled
overflow water is being recycled twice. Employees are now working in a
cooler environment during the summer months. The use of fresh water at
the crate washer entrance has also been eliminated. Finally, the facility is
now able to provide cleaner crates, thus reducing the possibility of cross
contamination back to the growers.
Results:
22 • Water
More Effective Water Use: OSI Group
Greg Rich
Site Operations Manager
OSI Blacktown
Reduce water consumption through recycling and rain
water capture processes.
Opportunity:
OSI’s approach was to capture and recycle defrost water from
the spiral freezers on its processing lines at a rate of approximately 20
kiloliters per day. They achieved this simple, inexpensive and effective
solution by increasing defrost water storage capacity by 11 kiloliters,
giving a total storage capacity of 34 kiloliters. Rainwater harvesting
was incorporated when the additional water storage tanks were
installed. Defrost water collected from the spiral freezers and rainwater
capture is now used for replenishing evaporative losses on five cooling
towers. This water also services amenities like toilets, truck wash and
facility landscaping. In addition, the defrost mechanism on one freezer
evaporator coil was converted from water to hot gas, further reducing
water usage on the site.
Solution:
Results: The hot gas defrost initiative has reduced water usage by
3,600 kiloliters per year. Fresh water make-up to cooling towers has been
reduced by 1,500 kiloliters yearly due to increased defrost collection
storage capacity and rainwater harvesting. Total annual water cost
savings are $13,000 at a capital cost of $19,000, resulting in a payback
period of 1.5 years.
Water Stewardship Commitment:
The Coca-Cola Company
Laura Vansant
Sustainability Manager
The Coca-Cola Company
Opportunity: Water is fundamental to the Coca-Cola Company. Its
business is beverages, and water is the main ingredient in all of its
products. Water is also vital to the health of the communities it serves
and the ecosystems that the world relies on. For these reasons, the CocaCola system (the company and its bottling partners) has committed to
safely return to communities and nature an amount of water equivalent to
what it uses in its beverages and their production.
Solution: The Coca-Cola system is intensely focused on water
stewardship in three areas: reduce its water ratio – the amount of water
needed to produce a unit of product (efficiency); recycle water used
within its operations (wastewater treatment); and replenish the water
used through community water access, watershed restoration and
protection. To ensure progress in each of these areas, the Coca-Cola
system has established partnerships with governments, nongovernmental
organizations and communities.
Results: Through its partnership with World Wildlife Fund, the Coca-Cola
system is working to improve its manufacturing water use efficiency by
20 percent by 2012. At the end of 2008, the company had already seen a 9
percent water efficiency improvement versus its 2004 baseline. Through
comprehensive water recycling efforts, Coca-Cola has committed to
return all water used in its manufacturing processes to the environment,
at a level that supports aquatic life, by the end of 2010. To meet its
replenishment goals, the company has been involved in more than
250 community water partnerships in 70 countries since 2005. These
efforts include the support of local initiatives including the protection
of watersheds, expansion of community drinking water and sanitation
access, and agricultural water-use efficiency.
Water • 23
raw
materials
One common way that our suppliers demonstrate
best practices across many issues is to extend
our sustainable supply vision upstream in their
supply chains to raw materials production. This
can include making positive impacts on issues like
agricultural working conditions, soil fertility, soil
erosion and contamination, water conservation,
GHG reductions, responsible use of agrochemicals,
protecting biodiversity, and promoting long-term
economic viability of producer communities.
24 • Raw Materials
Researching Methane Reductions:
Keystone Foods
Jean-Francois Legrand
Director of Quality, Health, Safety, Environment
Keystone Foods, Europe Division
Opportunity: To support its ISO 14001 certification, Keystone Foods’
McKey France division decided to calculate its carbon footprint according
to the French Environment and Energy Management Agency’s (ADEME)
guidelines. McKey sought to understand the role of cattle-related
greenhouse gas emissions better in order to support reductions in
the future.
Solution: McKey partnered with the French National Institute of
Agronomic Research (INRA) to study the impact of changing cattle feed on
young bulls to reduce methane emissions. By varying the feed levels and
composition, methane levels are currently tracked during the beginning,
middle and end of animal growth with the help of a tracer gas.
Intermediate results have given Keystone promising information,
and the study will help define the right feeding to limit cattle impact on
future greenhouse gas emissions.
Results:
Sustainable Tomato Farming:
H.J. Heinz Company
Joan Patterson
Per Hansen
Corporate Affairs Leader
H.J. Heinz Company
VP - Head of Breading Division
Espersen
Opportunity: Tomatoes are one of the world’s largest crops, and the
H.J. Heinz Company uses 2.5 million tons of processing tomatoes, more
than any company in the world. Therefore, we have both the unique
opportunity and responsibility to demonstrate leadership in sustainable
tomato farming.
Solution: By implementing a holistic sustainable agriculture program
focused on tomato seed development and farming practices, we enhance
the quality of the tomatoes in Heinz products while protecting the earth
and ensuring a region’s livelihood for future generations. Since 1970,
HeinzSeed has developed non-genetically modified hybrid tomato seeds
that result in tomato varieties that taste superior, produce a higher
yield, remain ripe longer, require less water and resist disease. As part
of Heinz’s agricultural training program, launched in 2000, a global team
of tomato experts teaches farmers about sustainable practices such
as water conservation and management, soil analysis and restoration,
nutrient conservation and management, pesticide management,
hybrid seed and plug transplant guidelines, and energy conservation
and management.
Heinz’s seed development and sustainable farming initiatives
have resulted in significant advances in tomato agriculture. In Canada,
for example, tomato yields have increased by 110 percent, increasing
from 20 tons per acre to 42 tons over the past 20 years. Approximately
50 percent of Heinz tomato growers have adopted irrigation efficiency
through drip application methods over the past five years, resulting in
a 35 percent reduction in water use. Now, 98 percent of tomatoes used
to make Heinz Ketchup sold in Canada are grown within 100km of Heinz
Canada’s Leamington plant. Heinz will continue to deliver superiorquality tomatoes and tomato products to consumers while working with
growers to institute ever-more productive, efficient, safe and sustainable
agricultural practices that benefit the environment, the local economy
and the lives of Heinz growers.
Results:
Influencing a Fishery to Improve Sustainability Management Controls: Espersen
Keith Kenny
Senior Director Sustainability
McDonald’s Europe
Opportunity: One of the main objectives of McDonald’s Sustainable
Fishery Standards is to actively influence positive change when possible,
not just abandon fisheries where improvements are needed. Timelines
are set for improvements. Espersen shares our goal and therefore
actively committed to work with others to promote more sustainable
practices in the Barents Sea cod fishery. The particular focus was on
improving fishery controls to prevent illegal fishing, even though internal
traceability systems ensured that no illegal fish entered Espersen’s
system.
Solution: Espersen, together with six other European seafood
enterprises, McDonald’s and the association of European fish industry,
developed a set of rules directing that Russian cod from the Barents
Sea would be allowed to be imported at only a few ports in the European
Union. In addition, all transportation aboard a ship flying a flag of
convenience would be banned. These proposals were incorporated by
the EU Commission and the Norwegian fishery authorities, who also
blacklisted the Russian fishery vessels that had participated in the illegal
catches. The industry committed to not buy from any vessels that had
been blacklisted.
Results: The rules to combat illegal fishing were partially launched in
the spring of 2007. Today, the authorities in a few selected EU ports
maintain a tight control with the import of cod from the Barents Sea.
These ports guarantee to Espersen and other purchasers that demands
of correct documentation have been met. Also, reports on the quantity of
catches are submitted to both the Norwegian and the Russian authorities
to enable a later crosscheck. As a result, landings of illegally caught cod
from the Barents Sea are now history. In addition, the fishery has shown
significant improvement in other areas and recently completed preassessment for Marine Stewardship Council (MSC) certification.
Raw Materials • 25
Sustaining Cattle Production In Brazil:
Marfrig
Biodigesters on Swine Farms: Sadia
Tim Hrach
Global Accounts Manager
Sadia
Roberto Ruban
Global Accounts Director
Seara / Marfrig
In addition to complying with McDonald’s strict policy
against sourcing any beef from rainforests for its restaurants since
1989, Marfrig has also implemented broader initiatives in other parts of
its supply chain to support sustainability in cattle production, ensuring
ethical practices and supply chain sustainable productivity.
Opportunity:
Marfrig’s Beef Division in Brazil created a partnership with
state governments in devising a program for guaranteeing the legal
origin of animals. Marfrig’s share of the animals slaughtered in the Legal
Amazon in 2009 was approximately 7%.
Solution:
Since June 22, 2009, Marfrig has made very clear its commitment not to
acquire cattle from: a) areas embargoed by the Brazilian environment
agency IBAMA, b) newly deforested areas in the Amazon Biome (as of that
date), c) suppliers involved with forced labor which are blacklisted by the
Brazilian Labor Ministry, or d) cattle ranchers involved with indigenous
land and protected area disputes. Marfrig affirms its commitment to
remove all non-compliant farmers from its supplier list, even if only a
single farm has been found noncompliant, until they are all in compliance.
An independent auditor has been enlisted to audit cattle acquisitions in
order to verify this commitment.
In addition, Marfrig has developed a socio-environmental registry of
suppliers in partnership with local NGO Aliança da Terra. By registering
farms, Marfrig will assess suppliers’ commitment to sustainable cattle
ranching practices in addition to monitoring any new deforestation around
the company sites in the Amazon Biome. As part of these initiatives,
Marfrig has been giving lectures to cattle ranchers about social and
environmental laws, new global market demands and benefits from
being responsible. The company is a member of The Sustainable Cattle
Ranching Working Group’s executive management committee and chairs
the governing board.
As of April 6, 2010, 80% of farms supplying Marfrig from the
Amazon were identified, registered and are being monitored. The other
20% will be completed by August 2010.
Results:
26 • Raw Materials
Sadia’s Sustainable Swine Production Program (3S)
is focused on reducing the environmental impact and promoting the
sustainable development of its integrated Swine Production. It also aims
to reduce greenhouse gas emissions and make carbon offsets available
for negotiation.
Opportunity:
Solution: Sadia implemented 3S with the installation of 1,104
biodigesters in integrated swine farms that voluntarily joined the
program in the states of Rio Grande do Sul, Santa Catarina, Parana,
Minas Gerais and Mato Grosso. The biodegradable waste is fermented
in covered tanks, avoiding the emission of methane, a greenhouse gas
21 times more aggressive than CO2. The program has enabled the farms
to comply with environmental rules and objectives. In addition, Sadia is
eligible for carbon offsets provided by the Kyoto Protocol.
Reducing greenhouse gas emissions has lowered the
environmental impact of swine production. To date, Sadia has negotiated
2,460,000 tons of CO2 with the European Carbon Fund (ECF). Farmers are
also benefiting from additional income, since the biodigester generates
byproducts such as biofertilizers for agriculture use and biogas that can
be transformed into energy. There is also a reduction of swine odor and
other factors that can be harmful to health. The initiative adheres to
global standards and was recognized in the UN report “Creating Value for
All: Strategies for Doing Business with the Poor” as one of 50 relevant
private initiatives on the planet.
Results:
Palm Oil Sustainability Model:
Cargill Tropical Oils
Breeding a Better Potato: McCain Foods
Gary Hawkins
Director Global Variety Innovation
McCain Foods
Bruce Blakeman
VP Corporate Affairs
Cargill
Opportunity: To produce a safe, healthy, high quality process potato
Opportunity:
Cargill sought to receive Roundtable on Sustainable
Palm Oil (RSPO) certification for Cargill Tropical Oils Asia’s Hindoli Oil
Palm plantation.
crop with emphasis on new variety selections that improve economic and
environmental sustainability. We must also meet the quality needs of our
customers, growers and the company in diverse growing environments.
Solution: Cargill has owned and operated its Hindoli plantation since
1995. The plantation has been such a strong model for sustainability
that the Indonesian Government has used Hindoli as their prime example
of sustainable palm oil production. To certify the palm oil produced
by the plantation as sustainable, Cargill joined the Roundtable on
Sustainable Palm Oil (RSPO) in 2004. RSPO’s sustainability criteria
address land conversion, land rights, biodiversity, high-value conservation
forest protection, fertilizer and pesticide use, labor rights, effluent
management, community development and transparency. Cargill exceeds
RSPO criteria by also committing to conserve peat land and pledging
not to use burning to clear land. The RSPO criteria were finalized for
Indonesia plantations in May 2008, and Cargill’s Hindoli plantation
received RSPO certification in February 2009.
Solution: At McCain, we have an extensive new variety development
program. We have expanded the use of new varieties with higher yields,
improved quality and consistency, greater disease and pest resistance,
tolerance to growing season stress and the ability to be harvested earlier
than traditional varieties. Production programs are in place with a target
of 40 percent growth in the proportion of the global crop derived from
new varieties from 2009 to 2011. Even varieties that do not go directly
into MacFry production have the benefit of reducing overall pressure
on the growing region. In this way, McCain’s diverse mix of retail and FS
business in partnership with McDonald’s is symbiotic, allowing for variety
diversification and ongoing supply of gold standard Mac Fries. Through
this activity, we have been able to lessen water consumption, reduce
application of crop protection
Hindoli has fully integrated the RSPO criteria into its daily
operations, ensuring that sustainability is central to all aspects of its
operations. Sustainability has become part of the entire workforce’s job.
In addition, Cargill is now working with environmental NGOs to share its
experiences with other plantation operators. A significant development
is that the Cargill Hindoli team has worked very closely with our more
than 8500 smallholder farmer families to become RSPO-certified. The
Hindoli smallholder certification audit was completed in February 2010.
The certification process now requires public consultation and then final
RSPO board approval. This will be the first group of smallholder farmers
to be fully RSPO-certified on their own accord. The relationship between
company and farmers is deeply rooted in mutual success.
Results:
Results:
Examples of variety development activities enabled:
United States: An approximate irrigation water reduction of 140
million gallons and nitrogen reduction of 141,000 lbs 2009 vs.2008
Europe: Major new varieties are used requiring, on average, 18
percent less pesticides vs. standard varieties.
Argentina: A new variety has replaced 90 percent of standard
variety production. It requires 18 percent fewer pesticides.
Australia: A new high-yielding early variety accounted for 17 percent
of production with 40 percent less pesticides and 28 percent less
water use in 2009. This percentage of production will rise to 33
percent in 2011.
Raw Materials • 27
Building a Sustainable Supply Chain
in India: McCain Foods
Devendra Kumar
General Manager Agriculture
McCain Foods
Employ leading agronomy practices and technologies to
conserve resources and increase the viability of local agriculture leading
to sustainable, high quality potato sourcing.
Opportunity:
Solution: McCain India’s Agronomy team built long term relationships
with growers based on a willingness to offer contracts for supply
that assured a price to the grower. They then convinced growers to
adopt modern irrigation practices, highlighting the benefits through
demonstrations on the McCain pilot field and through extensive training
programs. The end result is lower water use, greater sustainability of the
land, superior crop yield and potatoes that meet McDonald’s strict quality
expectations.
McCain agronomists would first visit farmers every other day. Now they
check in once a week. They insisted that farmers give up flooding in
favor of drip irrigation, which flows through a pipe punctuated with small
nozzles laid along the crop-bed. Drip irrigation produces “more crop per
drop”. It moistens the soil at each root, but leaves the ground otherwise
dry. This in turn reduces the humidity that attracts pests and blight
disease. Additionally, McCain:
Advocated use of flat bed planting instead of furrows to utilize
more land for growing crops
Supported use of mechanized planters enabling planting at the right
depth to optimize yield
Provided a standardized list of fertilizers with monitoring to ensure
optimum dosage
Worked with local governments to provide additional support in the
form of farmer subsidies
28 • Raw Materials
New agricultural practices have produced better yields for
the farmers, which has led to a significant rise in their earnings. With
the procedures recommended by McCain, the farmers have been able to
improve their yield by over 3 tons per hectare (a 40 percent improvement).
The yield improvement has been achieved by using substantially less
water. It is estimated that there has been a reduction of about 50 percent
in water use versus traditional methods of cultivation. Having seen the
benefits of these agronomy practices, farmers have started adopting
these practices to other crops and through word of mouth more and more
farmers are eager to join this silent farming revolution.
Results:
community
impact
Giving back to the community is a longstanding
priority of McDonald’s, and one of our core values.
Innovative and outstanding examples of charitable
giving, volunteering, and investing in local
infrastructure are just some of the ways that
our suppliers could demonstrate best practice in
this category.
Fighting Hunger: Tyson Foods
Devin Cole
Svp & General Manager McDonald’s Business Unit
Tyson Foods, Inc.
Opportunity: Tyson Foods seeks to augment and leverage the 8-10
million pounds of in-kind contributions it makes to hunger relief each
year, creating hunger awareness and taking action toward ending hunger.
The objective was to create innovative ways to engage stakeholders
including employees, customers, consumers and communities in the fight
against hunger.
Solution: Tyson has launched a number of major initiatives including:
Powering the Spirit, an employee-led program to raise funds for child
hunger programs in our local communities
Student Food Drive, piloted with Feeding America Food Banks in 18
communities to develop the next generation of hunger fighters
Comprehensive social media program that focuses on the issue of
hunger and hunger fighters and collaborative efforts with retail and
food service customers to donate food and generate awareness in
the customers’ own communities.
Powering the Spirit has raised more than $400,000 in the past
four years, solely on the efforts of employees. The Student Food Drive
engaged thousands of high school students and raised more than 3 million
pounds of food in 2009. Tyson has been recognized by authoritative
sources including Fast Company magazine for the innovative use of social
media for social good, including the Hunger Relief Blog and a widelyfollowed Twitter account focusing on the issue of hunger. The company
expanded customer collaboration, including a McDonald’s of the Ozarks
Cans for Coffee promotion in Springfield, Missouri, to which Tyson
contributed more than 36,000 pounds of food to the local operator’s food
drive. Tyson also worked alongside McDonald’s during the 2009 LPGA
Championship to kick off the Fill a Truck food drive for the Maryland Food
Bank, in which 2.3 million people were exposed to media messages around
the partners’ hunger relief efforts.
Results:
Community Impact • 29
Green Orchards Bear Fruit: Creata
Making The Most Of Yield Loss: Nut Industria
Jim Tout
Cecilia Games Campacci
Sr. VP Global Operations
Creata
President
Nut Industria
Creata sought to implement a long-term ongoing strategy
targeting carbon neutrality for Creata’s Shenzhen office and Creata
Happy Meal plastic and plush toy manufacturers while simultaneously
assisting local village communities in China escape poverty.
Opportunity:
Solution: Creata partnered with local communities in China to
implement a “green orchard” pilot program in March 2009 aimed at
compensating for the energy consumption of Creata and Creata’s toy
manufacturers in China. The program targets carbon neutrality in 10
years to offset electricity consumption by planting more than 200,000
fruit trees (walnut and plum) including 25,000 trees for each plastic
factory (10 years to carbon neutral, according to International Energy
Agency Data Services), 10,000 trees for each plush factory (four years
to carbon neutral), and 3,000 trees for the Creata Shenzhen office (six
years to carbon neutral). Participating factories will make contributions
based on their total electricity consumption. The trees will be planted in
the impoverished rural communities of China coping to rebuild after the
devastation of the Sichuan earthquake, allowing grassroots villagers to
achieve sustainable independence through community development. The
land is provided by local communities, while the trees will be nurtured by
local villagers who can eat and/or sell produce once they become fruit
bearing. Partner villages and nurseries will be monitored throughout the
year through local contacts. Tree saplings will be given conditionally,
with recipient families agreeing to “pay it forward” to other communities
when family annual revenue from the fruit is five times or more of the
sapling cost.
Creata implemented the pilot program, planting 15,000 walnut
trees in 2009, achieving a high survival rate of saplings based on diligent
care from rural villagers. A further 20,000 saplings were planted in
March 2010.
Results:
30 • Community Impact
Nut Industria`s semi-automated process creates a yield
loss of approximately 250kg (4.1 percent) of food per month, a significant
amount for a small business whose average production is 6 tons/month.
The objective of this project is to achieve a better use of this production
yield loss, since this food is in excellent condition to be consumed in
almost 90 percent of cases, even though it does not meet required
commercialization standards.
Opportunity:
Solution: Nut Industria entered into a partnership with the Prato Cheio
NGO that distributes food with these characteristics to more than 10,000
needy people in the greater São Paulo area.
Nut Industria currently donates an average of 225kg of food
per month to Prato Cheio, thus contributing to the assured nutrition of
needy children and adolescents who are mainly cared for by about five
organizations. Nut Industria’s employees are on board with this project,
helping the NGO to consider recipes that optimize the use of the foods it
receives. They are happy to know they’re reducing the amount of food being
discarded as garbage, especially in Brazil, a country where so many people
go hungry.
Results:
Mobile Pantry Feeds The Hungry:
Kraft Foods
Preserving Water at Work And Home:
McCain Foods
Barbara Pritikin
David Sidebottom
Sr. Integrated Marketing Communications Manager
Kraft Foodservice
Regional Environment Manager
McCain
Opportunity: Today, more Americans than ever are reaching out to
their community food banks for assistance. In some cases, the nearest
food bank is more than 100 miles away or located in distant, rural, and
underserved areas. The U.S. Department of Agriculture estimates that 49
million Americans are unable to provide food for themselves and/or their
families. There is a growing need around the country for food assistance,
especially for fresh fruit and vegetables.
Since 2006, severe drought conditions in Australia have
dried up Ballarat’s water supply. The severity of the situation peaked
in April 2008 when Ballarat’s White Swan Reservoir hit a record low of
just 7 percent capacity. In response, the local government funded the
development of the 87-kilometre Goldfields Superpipe, guaranteeing a
sustainable water supply to Ballarat when it was turned on in May 2008.
As one of Ballarat’s largest employers and industrial consumers of water,
McCain recognized the impact our operations have on the region and our
associated responsibility.
Opportunity:
Solution: In 2009, Kraft Foods, in collaboration with Feeding America,
rolled out the Kraft Foods Mobile Pantry Program. This new, first-ofits-kind national program will distribute the equivalent of more than 50
million nutritious meals to Americans who might otherwise have gone
hungry. The Kraft Foods Mobile Pantry initiative brings delicious, fresh
and nutritious food directly to the hungry, neighborhood pantries and
communities that cannot access food programs. These refrigerated
trucks deliver dairy, meat and fresh produce, as well as shelf-stable
foods, to provide families and individuals with balanced nutritious meals.
Clients maintain an atmosphere of dignity, choosing their food the way
they would at a farmers’ market.
Solution: McCain Foods and the community initiated a strategic waterreduction effort, with McCain investing more than $1 million in 2006-2007
to improve the water efficiency of its equipment. In 2008-2009, McCain
invested a further $635,000, with the state government contributing the
balance of a total of $1.2 million, for initiatives that have delivered further
significant water savings. In addition to capital investment, McCain
trained its employees on smart water use in the plant and at home.
McCain provided a subsidy to employees who installed water saving
devices in their homes to promote employee awareness of water use.
Results: To support the mobile pantry program, Kraft Foods and its
Results:
foundation have donated $4.5 million over three years to Feeding America
to put as many as 25 refrigerated trucks on the road. And recently, the
truck delivered to City Harvest in New York City, will do so with less
environmental impact. This bumper-to-bumper hybrid will help City
Harvest improve fuel economy by 25-50 percent vs. a similar standard
truck as it makes deliveries of produce and other food. The mobile pantry
program is part of Kraft’s new, three-year $180 million commitment to
fighting hunger and supporting healthy lifestyles globally.
Since 2006, McCain Foods Ballarat site has reduced its overall
water use by more than 40 percent. The litres of water used per kilogram
of finished product have been reduced by more than 30 percent. That,
in turn, reduced the volume of water required to be heated, resulting
in significant energy savings and a reduced carbon footprint. In 2009,
McCain Foods received the Smart Water Management Award as part of
the Ballarat Business Excellence Awards.
Community Impact • 31
Building A Park: Golden State Foods
John E. Page
Vice President and General Counsel
Golden State Foods
Opportunity: To make the communities it serves better and safer,
Golden State Foods transformed a former drug house and its surrounding
area in Lexington, South Carolina into a community park.
Solution: As a stakeholder in our communities, Golden State Foods feels
a duty to give back. In addition to employees’ volunteerism, the Golden
State Foods Foundation (GSFF) enriches the lives of its neighborhoods
through grants, sponsorships and special collaborative projects –
investments that serve as a catalyst for bigger and better things to come.
Partnering with the town of Lexington, GSFF helped build a park for
families who live in a low-income neighborhood and didn’t have a place to
play and gather. This project started off small and expanded as Golden
State Foods and the town of Lexington collaborated in raising funds,
garnering community interest and purchasing an adjoining piece of land.
GSF Associates were there every step of the way from demolition to
planting. We added playground equipment and a water-spray pool for hot
summer days. Volunteers also lent a hand with the final phase
of landscaping by laying sod and planting bushes and flowers to beautify
the park.
After five years of dedication, commitment and enthusiasm,
the project has finally been completed. “It was a monumental day,” said
Tim Heskett, Vice President Distribution – East, an active volunteer in
the Lexington GSFF Chapter. “When all the festivities were coming to an
end at the Grand Opening,” said Gregg Tarlton, Assistant General Manager,
“everyone’s hard work and commitment to this project was validated by
seeing the children and families from the community laughing and playing
in the park.”
Results:
Randy Halfacre, Mayor of Lexington, added, “The partnership we have
formed with GSF to address a community need within our town goes
to the very core of my belief in building partnerships with community
stakeholders. By leveraging resources, we enhance the quality of life for
all our citizens.”
32 • Community Impact
Teaching the Value Of Safety:
Keystone Distribution
Jean-Francois Legrand
Director of Quality, Health, Safety, Environment
Keystone Foods, Europe Division
England’s Buncefield oil storage depot explosion and fire
in 2005 uprooted Keystone’s staff. They had to first move to a temporary
workplace before eventually settling into their brand-new Hemel
Hempstead Distribution Center. Many on staff wanted to give back to
the community in which Keystone operated by starting an initiative that
would use Keystone’s expertise to benefit the local community.
Opportunity:
Solution: In 2006, the Hemel Transport Department contacted the local
Police Community Support Officer (PCSO) to arrange visits to a number
of junior schools (ages 5-11) in the Hemel Hempstead area. The event was
created to educate members of the community about the importance of
vehicle safety. Two drivers and a PCSO informed students the dangers
of articulated vehicles. The presentation demonstrated the 100-foot
stopping distance of a fully laden vehicle at 30 miles per hour and the
danger of crossing the road in front of one. Groups were shown around
the vehicle and taught the “dos and don’ts” as well as the dangers of the
tail lift. Children (and teachers) sat in the driver’s seat to understand the
limits of the driver’s view. All children were given their own high visibility
vest, stating “Be Safe, Be Seen, Road Safety promoted by Keystone
Distribution.”
Results: The PCSOs have helped spread the word to involve more
schools and other services, like the Fire Brigade and St. Johns Ambulance.
Some schools have created a full-day project covering Road Safety, Home
Fire Safety, First Aid, and Cyberbullying. The drivers are more than willing
to contribute their time to this cause and Keystone is considering starting
a similar program in another community.
Community Food Security:
Green Mountain Coffee Roasters
Gordie Garvey
Director National Foodservice Sales
Green Mountain Coffee Roasters
Since 1988, Green Mountain Coffee Roasters, Inc. (GMCR)
has engaged coffee farmers, their families and their communities to
enhance the sustainability of our supply chain. This engagement has taken
various forms, including support of micro-credit programs, scholarships,
various environmental initiatives including a “Changing Climate Change”
program and, most recently, food security.
Opportunity:
Solution: GMCR enlisted the support of the International Center for
Tropical Agriculture (CIAT) of Cali, Colombia to conduct individual oneon-one surveys in communities that are part of GMCR’s supply chain
in Mexico, Guatemala and Nicaragua. More than 175 interviews were
conducted using a questionnaire that sought information on everything
from basic family data to sources of income, production costs and
challenges to health and food security. When the survey results were
compiled and reviewed, GMCR learned that more than 67 percent of those
interviewed could not maintain their normal diet from three to eight
months of the year, due to families’ economic over-reliance on coffee,
which is often their only source of income.
GMCR has initiated support of projects that are improving
food security by helping families develop alternative economic activities.
Reducing this food insecurity is also improving health, children’s ability
to learn and is providing families with new opportunities to begin to
lift themselves out of poverty. Since 2007, GMCR has started funding
14 projects in 10 countries including Peru, Bolivia, Mexico, Nicaragua,
Guatemala, Honduras, Ethiopia, Rwanda, Tanzania and Sumatra that are
now helping more than 18,000 families (more than 96,000 people) develop
the capacity to overcome months of food insecurity in a sustainable
manner.
Results:
Community Impact • 33
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McDonald’s Global Best of Sustainable Supply is available on the web. Updated regularly, it highlights leading best practices
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